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Senate Engrossed
SNAP; error rate; forensic audit. |
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State of Arizona Senate Fifty-seventh Legislature Second Regular Session 2026
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SENATE BILL 1333 |
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AN ACT
amending title 46, CHAPTER 2, article 2, arizona revised statutes, by adding section 46-232; repealing section 46-232, arizona revised statutes; relating to the supplemental nutrition assistance program.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Title 46, chapter 2, article 2, Arizona Revised Statutes, is amended by adding section 46-232, to read:
46-232. Payment error rate; reduction; quarterly reports; requirements; auditor general
A. On or before December 30, 2030, the department shall reduce the supplemental nutrition assistance program's payment error rate as reported by the United States department of agriculture to not more than three percent.
B. Beginning in fiscal year 2026-2027 and each fiscal year thereafter, the department shall submit a quarterly report to the legislature within thirty days after the end of the quarter that details the department's monthly progress towards reducing the payment error rate and that includes strategies and barriers that may be present in reducing the payment error rate.
C. If the department fails to meet annual interim targets established by rule or the final target as prescribed in subsection A of this section, the department shall:
1. Submit a corrective action plan to the legislature within sixty days that includes an analysis of why the targets were not met and timelines for correcting the payment error rate.
2. Pay fifty percent of any federal liabilities that may be imposed due to the excess payment error rates. The remaining federal liabilities shall be paid from the state general fund.
3. Implement a corrective plan. If the department fails to comply with the corrective plan, the department's administrative funding shall be reduced by ten percent until resolved.
D. On or before November 15, 2027, The auditor general shall complete a special audit. the special audit shall determine what factors contributed to the payment error rate and shall include recommendations to reduce the payment error rate. The department shall implement the recommendations within twelve months after receiving the recommendations from the auditor general unless the recommendations are waived by the joint legislative audit committee. The auditor general may request that the department submit a written status report on the department's implementation of the special audit recommendations.
E. If the department corrects the payment error rate ahead of schedule, the legislature may allocate additional funding for program improvements.
Sec. 2. Delayed repeal
Section 46-232, Arizona Revised Statutes, as added by this act, is repealed from and after December 31, 2032.
Sec. 3. Short title
This act may be cited as the "Oh SNAP Act".